This evaluation conducted a randomised controlled trial (RCT) to test the effectiveness of SMS reminders in encouraging timely income reporting among recipients of Newstart and Youth Allowance. Late reporting leads to delays or cancellations in income support payments, with significant impacts on both recipients and departmental workloads. 

The study involved 14,994 late reporters randomly assigned to receive one of six types of SMS messages (differing by framing and personalisation) or no message (control). Messages were based on behavioural insights including loss aversion, gain framing and short simple reminders, with versions either personalised or not. 

The evaluation concludes that implementing cost-effective, timely SMS reminders can improve reporting compliance. It demonstrates how low-cost, behaviourally informed interventions can significantly improve administrative outcomes and client experiences in social service delivery.

Key findings

• On-time reporting increased by 13.5 percentage points among those who received any SMS.
• Payment cancellations were reduced by up to 1.7 percentage points for those who received some reminders.
• The SMS reminder reduced the average number of days late from 1.9 days late (no reminder) to an average of 1.2 days late (a reduction of 0.65 days).
• No persistent effects were observed without continued reminders.
• Habitually late reporters were more responsive to SMS prompts.